This office has recently completed an audit of United Service Workers Union (USWU) Local 455 under the Compliance Audit Program (CAP) to determine your organization’s compliance with the provisions of the Labor-Management Reporting and Disclosure Act of 1959 (LMRDA). The CAP examined Local 455’s records for the organization’s fiscal year 2006, from October 1, 2005 through September 30, 2006. The CAP, which is limited in scope, disclosed the following information:

According to Local 455, the local is considered a “core” local of the USWU. As a “core” local, all dues and revenue from Local 455 go directly to the USWU. The USWU pays all bills on behalf of Local 455. Local 455 does not control any finances.

According to a report provided by Local 455 titled “Dues and Initiation Fees Collected by USWU On Behalf of Local 455 Year Ending 9/30/2006”, the USWU collected approximately $1,500,000 in revenue on behalf of Local 455.

According to a report provided by Local 455 titled “Expenses Paid by USWU On Behalf of Local 455 Year Ending 9/30/2006”, the USWU disbursed approximately $23,000 on behalf of Local 455 for the purposes of meetings, arbitration expenses and lost time. According to the report, USWU incurred expenses for 10 arbitration cases of Local 455 members. According to Local 455, the USWU pays other expenses on behalf of the “core” locals but does not track those expenses by local.

According to Local 455, the local had approximately 4,450 members in 2006.

According to Local 455, the organization’s officers do not receive a salary from their position in Local 455. A chart provided by Local 455 titled “All Positions Held by USWU, Local 455, IUJAT Officers in Related Organizations”, the following Local 455 officers received a salary from their position(s) in organizations related to the USWU and/or International Union of Journeymen and Allied Trades (IUJAT):

I want to extend my personal appreciation to Local 455 for the cooperation and courtesy extended during this compliance audit. I strongly recommend that you make sure this letter and the compliance assistance materials provided to you are passed on to future officers. If we can provide any additional assistance, please do not hesitate to call.